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Groundwater management when water quality is endogenous
Journal Title
Journal of Environmental Economics and Management
Year (definitive publication)
2002
Language
English
Country
United States of America
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Abstract
This paper brings quality considerations into a deterministic model of resource management. It would be natural to suppose that optimal management yields a larger aquifer of better quality than what private agents achieve. However, this paper shows that intervention may lower quantity while improving quality or vice versa. It is also shown that, despite the external costs associated with contaminant discharges, the stationary level of discharges chosen by the users of groundwater may be higher or lower than the efficient level, as long as water quality is higher in the efficient solution. (C) 2001 Elsevier Science (USA).
Acknowledgements
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Keywords
Fields of Science and Technology Classification
- Economics and Business - Social Sciences
- Social and Economic Geography - Social Sciences
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